GOOD times or bad, there’s still no stopping Filipinos to shop for themselves, or loved ones, during the forthcoming Holiday season, even as the nation continues to grapple with the Covid-19 pandemic, a new study revealed.
The latest Facebook IQ research suggests that businesses should leverage on mega sales and self-gifting to help regain their losses as they are among the expected key trends to dominate the year-end shopping calendar of 2020.
Like in the past, this time of the year is when the retail scene in the Philippines is alive and kicking with various shopping extravaganzas in the pipeline. From 9.9, to mega sale days like 10.10 and Singles’ Day on 11.11, Black Friday, or Christmas, both businesses and consumers will continue to look forward to them amid the slowdown.
“The pandemic has shifted people’s priorities, and understandably also their plans for the year. As we tread into the ‘next normal,’ we foresee these changes are likely to have lasting impact on brands and businesses,” said Facebook Philippines Country Director John Rubio during their recent media webinar.
“Right now businesses are changing their model to adapt to selling online, so we’re accelerating our commerce work and building solutions to help. We hope that with the launch of Facebook Shops in the Philippines, we’re able to support businesses to navigate challenges, and ultimately bounce back.”
Facebook IQ’s Mega Sales & Holiday 2020 insightstudy presented five emerging trends that brands must consider in their year-end planning.
First of which is very surprising: That tech-savvy millennials are not the market movers online.
Interestingly, 82 percent of Gen X and Boomers in the country have spent more time on their mobile gadgets during the pandemic, with 76 percent now shopping online.
By and large, all age groups have been depending on mobile to stay connected, informed, and shop during Covid-19, with 82 percent of the Philippines spending “significantly more time using the device.”
The second emerging trend to happen is that the economic downturn resulting from the closure of major industries and key businesses upon the implementation of lockdowns would expedite the rise of mega sales.
Per the study, 99 percent of Filipino shoppers said that the pandemic will have an impact on their personal/household finances.
This, in turn, will surely affect consumers’ purchasing habits. Hence, price sensitivities will be heightened this year-end and many of the consumers are expected to wait for Mega Sales Day.
According to year-end shoppers surveyed in the Philippines, 12.12 is the most popular discount event, and buyers are more likely to plan “designer goods” purchases across the holiday season.
Third is that self-gifting and seasonal shopping will reign supreme as 2020 comes to an end.
Because many have delayed purchases for fear of contracting the virus, or their livelihood has been affected due to business closures and stoppage of work, the Facebook report showed that almost 46 percent of Filipino shoppers look to reward themselves as the outbreak begins to ease, attributing to the rising trend of “self-gifting”.
Some look forward to pick up on purchases prioritizing travel (24 percent), clothing (22 percent) and personal electronics (19 percent) as their first non-essential “big” buys.
Also, shoppers in the Philippines are two times more likely to buy something for themselves during holiday sales events.
Facebook found out that the imminent fourth trend is the imposed disruption that drives acceptance to new products and services.
The study bared that many shoppers are trying out new behaviors, products, and services during this difficult time.
The holiday season will see more people starting to explore new product categories as 78 percent of respondents in the Philippines agreed to do so, mostly millennials and Gen Z, who also look at buying products across the globe.
Lastly, consumers give importance to affordability and the brand’s alignment with their personal values.
Apparently during this crisis, people expect brands to react with action, not just marketing gestures.
Year-end shoppers in the Philippines, per the Facebook research, indicated that they wanted to see a content that is informative, real and authentic, as well as the one that provides updates on the latest offers, sales, and discounts from brands.
What’s more, 52 percent of survey participants would like to see videos that highlight family during the festive season.
The new Facebook IQ study was conducted in collaboration with YouGov from December 2 to 24, 2019.
A total of 48,348 individuals aged 18 years and above were surveyed across 31 markets, including Singapore, Hong Kong, Indonesia, South Korea, Thailand, the Philippines, Taiwan and Vietnam.
Results were also drawn and analysed from Facebook conversion and conversation data from October 1, 2019 to January 31, 2020.